10 Best NASDAQ Stocks Under $5 to Buy Right Now

In this article, we will discuss the 10 Best NASDAQ Stocks Under $5 to Buy Right Now.

On April 28, Gabelli’s John Belton joined ‘Closing Bell Overtime’ on CNBC to discuss how market expectations and overall investor sentiment have improved recently. Belton countered this by noting that the specific stocks being discussed had actually underperformed the broader market over the previously shown timeframe. Because of this underperformance, he believes that a portion of the strength seen in Q1 has already been pre-traded by investors. He observed very strong trends occurring across cloud businesses in particular, and added that digital advertising companies are also performing quite well. However, Belton characterized the current setup as a combination of strong underlying fundamentals mixed with high expectations, making it difficult to predict exactly how these stocks will respond on the actual day they release their earnings. Despite the near-term uncertainty, he stated that these opportunities remain highly interesting when looking at them from a longer-term perspective.

The March 30 low and a ceasefire in Iran coincided with the emergence of the “mythos model,” acting as an accelerant that revived Mag 7 stocks and raised the question of whether a rising tide of cloud revenue is lifting all boats or if hardware frenzies indicate indiscriminate buying ahead of upcoming Wednesday earnings. Belton acknowledged this complexity but emphasized that the mythos model is just one recent catalyst, stating that he is more excited that Anthropic and OpenAI have more than doubled their annualized run rate revenue since the start of the year to ~$70 billion; this direct AI monetization completely flips the previous debate that companies were spending heavily on infrastructure without monetizing it.

Our Methodology

We used screeners to identify NASDAQ stocks that are trading below $5 per share, and limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q4 2025.

Note: All data was sourced on May 15. 

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).

10 Best NASDAQ Stocks Under $5 to Buy Right Now

10. Invivyd Inc. (NASDAQ:IVVD)

Number of Hedge Fund Holders: 35

Invivyd Inc. (NASDAQ:IVVD) is one of the best NASDAQ stocks under $5 to buy right now. On May 14, Invivyd reported earnings for Q1 2026, highlighted by $13.7 million in PEMGARDA net product revenue, which marks a 22% growth compared to Q1 2025. The company ended the quarter with $184.2 million in cash and cash equivalents, supplemented by ~$20 million in gross proceeds from an April at-the-market offering. R&D expenses rose to $30.7 million, and selling, general, & administrative expenses increased to $25.1 million, resulting in a net loss of $41.4 million for the quarter.

The increase in operating expenses was primarily driven by the ongoing DECLARATION Phase 3 clinical trial for VYD2311, an investigational COVID-19 monoclonal antibody candidate. Initial full enrollment for the trial was achieved in March, and a subsequent sample size re-estimation in April added ~500 subjects, shifting the anticipation of top-line data to Q3. Based on an ad hoc safety review, the trial’s Independent Data Monitoring Committee recommended reducing post-dose monitoring from two hours to thirty minutes, eliminated certain follow-up visits, and updated eligibility to include pregnant and breastfeeding women.

In laboratory assessments, both PEMGARDA and VYD2311 showed continued in vitro neutralizing activity against the SARS-CoV-2 BA.3.2.2 (“Cicada”) variant. Looking forward, Invivyd Inc. (NASDAQ:IVVD) is preparing for the LIBERTY Phase 3 trial comparing VYD2311 to mRNA vaccines, a Phase 2 trial for Long COVID and vaccine injury, and pediatric evaluations via the DRUMMER trial. Beyond COVID-19, the company is advancing its pipeline with development plans for VMS063 for measles and VBY329 for pediatric respiratory syncytial virus/RSV prophylaxis, targeting investigational new drug readiness for both candidates in late 2026.

Invivyd Inc. (NASDAQ:IVVD) develops next‑generation antibody drugs aimed at long‑lasting effectiveness against evolving viruses, utilizing a proprietary platform to deliver durable therapies.

9. PepGen Inc. (NASDAQ:PEPG)

Number of Hedge Fund Holders: 36

PepGen Inc. (NASDAQ:PEPG) is one of the best NASDAQ stocks under $5 to buy right now. On May 12, PepGen reported Q1 2026 financial results, recording a net loss of $17.8 million, or $0.26 per share, compared to a net loss of $30.2 million for Q1 2025. R&D expenses decreased to $13.0 million, down from $25.4 million in the prior year’s Q1, while G&A expenses held steady at $5.9 million. The company concluded the quarter with $132.3 million in cash, cash equivalents, and marketable securities, which it expects will provide a sufficient capital runway to fund operations into H2 2027.

On the clinical front, PepGen achieved full enrollment for the 10 mg/kg cohort of its Phase 2 FREEDOM2-DM1 multiple ascending dose trial for PGN-EDODM1, an investigational oligonucleotide therapy for myotonic dystrophy type 1. Topline results from the initial 5 mg/kg cohort showed a favorable safety profile alongside promising splicing and clinical data, supporting ongoing dose escalation. Data from the 10 mg/kg cohort remains on track for release in H2 2026, while the subsequent 12.5 mg/kg cohort data is anticipated in 2027.

Regulatory expansions continue with clearance to initiate the FREEDOM2 trial in South Korea, Australia, and New Zealand, alongside active clinical sites in Canada and the UK. Meanwhile, the US FDA placed a partial clinical hold on the study regarding historical preclinical pharmacology and toxicology data. PepGen Inc. (NASDAQ:PEPG) is working to resolve the agency’s inquiries and noted that the timeline for the ongoing clinical study has not been impacted.

PepGen Inc. (NASDAQ:PEPG) is a clinical-stage biotech company using its proprietary Enhanced Delivery Oligonucleotide/EDO platform to develop therapies for severe neuromuscular and neurological diseases. By using cell-penetrating peptides to improve therapeutic uptake, the company aims to target the root causes of these serious conditions.

8. ​Gogo Inc. (NASDAQ:GOGO)

Number of Hedge Fund Holders: 37

​Gogo Inc. (NASDAQ:GOGO) is one of the best NASDAQ stocks under $5 to buy right now. On May 7, Gogo announced Q1 2026 financial results, reporting total revenue of $226.3 million, a 2% decline compared to both Q1 and the previous quarter. Equipment revenue increased 22% year-over-year to $38.6 million, propelled by a record of 511 air-to-ground/ATG units sold, though service revenue dropped 5% to $187.7 million. Net income for the quarter reached $13.1 million, while Adjusted EBITDA stood at $53.3 million, representing a 41% sequential increase.

The company is continuing its transition into a global high-speed broadband provider through its next-gen Gogo Galileo and 5G networks. Cumulative shipments for the low-earth orbit satellite service, Gogo Galileo, reached 410 units, with its aircraft online count growing 50% from the previous quarter to 111. Operationally, Gogo secured a contract extension through November 2026 under the FCC Reimbursement Program for its LTE network deployment and completed 35 commercial supplemental type certificates for Gogo Galileo, covering an addressable market of ~7,000 aircraft.

In April, the company made a $40 million earn-out payment related to its Satcom Direct acquisition and a $21.1 million principal repayment on its term loan facility to support its balance sheet de-leveraging strategy. ​Gogo Inc. (NASDAQ:GOGO) also reaffirmed its full-year 2026 guidance, projecting total revenue between $905 and $945 million and free cash flow between $90 and $110 million.

​Gogo Inc. (NASDAQ:GOGO) provides broadband, in-flight connectivity, and wireless entertainment services for the business aviation market. It delivers high-speed internet, voice, and data services to private jets and corporate aircraft using a proprietary air-to-ground/ATG network and satellite technologies.

7. Palisade Bio Inc. (NASDAQ:PALI)

Number of Hedge Fund Holders: 37

Palisade Bio Inc. (NASDAQ:PALI) is one of the best NASDAQ stocks under $5 to buy right now. On May 12, Palisade reported Q1 2026 earnings, recording a net increase in operating expenses to fund its clinical pipeline. R&D expenses rose to $6.4 million for the quarter, compared to $1.0 million in Q1 2025, driven by higher employee-related costs, chemistry, manufacturing, and controls/CMC expenses, and clinical trial costs for PALI-2108. G&A expenses also increased to $4.4 million, up from $1.4 million in the prior year’s period, due to higher professional fees and non-cash share-based compensation.

The company highlighted the continued clinical progress of its lead candidate, PALI-2108, a once-daily, orally administered PDE4 inhibitor prodrug designed for targeted delivery to the terminal ileum and colon to treat inflammatory bowel disease/IBD. Following positive Phase 1a/b data in ulcerative colitis/UC, Palisade Bio reported encouraging data from its Phase 1b fibrostenotic Crohn’s disease cohort. The results showed sustained active metabolite exposure above necessary thresholds, favorable distribution to colon tissue, and modulation of key inflammatory and fibrotic pathways.

Palisade Bio Inc. (NASDAQ:PALI) plans to submit an IND application for a Phase 2 UC trial in Q2, aiming for trial initiation in Q3 and a primary efficacy readout in H2 2027. Additionally, an IND submission for a Phase 2 Crohn’s disease trial is expected in H2 2026, targeting trial initiation in Q1 2027 and a primary efficacy readout in early 2028.

Palisade Bio Inc. (NASDAQ:PALI) is a biopharmaceutical company.

6. Payoneer Global Inc. (NASDAQ:PAYO)

Number of Hedge Fund Holders: 37

Payoneer Global Inc. (NASDAQ:PAYO) is one of the best NASDAQ stocks under $5 to buy right now. On May 14, Payoneer announced a renewal of its 15-year partnership with Upwork, continuing its role as a core global payout infrastructure partner. Under the extended agreement, Payoneer will remain a primary wallet and “Direct to Local Bank” payout provider, facilitating secure and compliant cross-border transactions for international Upwork customers across Africa, Asia Pacific, Europe, Latin America, and the Middle East.

The services utilize Payoneer’s established regulatory footprint and global financial stack, which spans nearly 100 banks and payment service providers across 190 countries and territories. The renewal introduces a new phase of joint innovation, with Upwork joining Payoneer as a Design Partner to explore stablecoin-enabled payouts. This initiative aims to address a growing demand among freelancers for faster, more flexible access to funds, particularly within emerging markets such as Latin America.

Additionally, the companies plan to collaborate on using Upwork’s global talent pool to benefit Payoneer’s ecosystem of SMB clients, expanding cross-border opportunities for both organizations. The financial infrastructure provided by Payoneer Global Inc. (NASDAQ:PAYO) gives Upwork freelancers access to essential business growth tools, including the Payoneer Account, international bank transfers, and foreign exchange management.

Payoneer Global Inc. (NASDAQ:PAYO) is a global cross-border payments platform for small- and medium-sized businesses, with a particular focus on emerging markets.

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